A McDonald's meal for $18?! Taco Bell bills doubling? Fast food chains are jacking up prices far beyond inflation rates, putting a major strain on wallets. Here are the reasons behind these out-of-pocket price hikes.
When you're craving a quick meal on a small budget, you expect fast food to come to bat. Convenience, speed, and low prices are the fast-casual industry's pillars, right? Lately, chains like McDonald's, Taco Bell, and Wendy's have been hiking up menu prices to laughable heights with no chill in sight. The infamous $18 Big Mac combo bought at a CT Mickey D's became a rallying cry from consumers that this has gone too far. These price tags are making the dollar menu seem like an oxymoron.
Analysts point to the perfect storm of pricey culprits - from climate change to ingredients getting scarcer to outdated supply chain strategy to sudden labor and energy cost increases. With operating costs rising, restaurants are passing those cost hikes to customers in the form of grossly inflated meals. The country's lingering economic woes since the pandemic also mean many more Americans are cash-strapped, making once affordable family fast food dinners no longer as easy an option.
Sadly, relief from these exorbitant fast food fees may not arrive soon. Stockholder financial pressures and recent credit rate crunches spell double trouble for price-gouged consumers who have already tapped out. With interest rates so high, big chains are far more wary of borrowing their way out of this conundrum. Your best bet? Start making your sandos at home. Bring a thermos of coffee to work. For the time being, chill on the fast food as a staple and start looking at it as a cheat day treat instead. At the end of the day, your wallet and body will thank you.